Economy, asked by harshwaghela08, 3 months ago

Investment will be low if MEC is
rate of interest.
​

Answers

Answered by radheshyam6441
1

Answer:

When MEC (4%), is equal to the rate of interest (4%), the effect on investments is neutral; when it is more, the effect is favourable and when MEC is less than the rate of interest, the effect on induced investment is unfavourable.

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